INDUSTRY NEWS
Class action claims Pepsi’s background checks violate FCRA
A subsidiary of PepsiCo Inc. allegedly conducted background checks on its employees without providing them with the proper notifications required under the Fair Credit Reporting Act (FCRA).
“Pepsi either knew or recklessly failed to know the disclosure requirements of [the FCRA] and that its acts in procuring or causing to be procured a consumer report regarding plaintiff and other class members without providing the required disclosure to them was facially contrary to the express language of [the act] and all administrative guidance available and violated the law,” the complaint states.
The proposed nationwide class seeks to represent all individuals in the past two years who Pepsi had run a background check on without first providing them with necessary notifications required by the FCRA. The class could include upwards of 1,000 individuals.
Source: Law360.com, 9/13/2017